ATCO LTD -CLASS I (ACO-X.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ACO-X - CA0467894006 - Common Stock
53.74 CAD
-0.76 (-1.39%)
Taking everything into account, ACO-X scores 5 out of 10 in our fundamental rating. ACO-X was compared to 20 industry peers in the Multi-Utilities industry. ACO-X has an average financial health and profitability rating. ACO-X has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ACO-X was profitable.
In the past year ACO-X had a positive cash flow from operations.
In the past 5 years ACO-X has always been profitable.
In the past 5 years ACO-X always reported a positive cash flow from operatings.
1.2 Ratios
ACO-X has a Return On Assets (1.55%) which is comparable to the rest of the industry.
ACO-X's Return On Equity of 9.08% is amongst the best of the industry. ACO-X outperforms 100.00% of its industry peers.
ACO-X's Return On Invested Capital of 3.73% is on the low side compared to the rest of the industry. ACO-X is outperformed by 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ACO-X is in line with the industry average of 3.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 9.08% | ||
| ROIC | 3.73% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
1.3 Margins
With a Profit Margin value of 8.38%, ACO-X perfoms like the industry average, outperforming 45.00% of the companies in the same industry.
ACO-X's Profit Margin has declined in the last couple of years.
ACO-X's Operating Margin of 24.56% is in line compared to the rest of the industry. ACO-X outperforms 45.00% of its industry peers.
ACO-X's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 74.90%, ACO-X is in line with its industry, outperforming 45.00% of the companies in the same industry.
In the last couple of years the Gross Margin of ACO-X has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.56% | ||
| PM (TTM) | 8.38% | ||
| GM | 74.9% |
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ACO-X is destroying value.
ACO-X has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, ACO-X has less shares outstanding
Compared to 1 year ago, ACO-X has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.77, we must say that ACO-X is in the distress zone and has some risk of bankruptcy.
ACO-X's Altman-Z score of 0.77 is amongst the best of the industry. ACO-X outperforms 85.00% of its industry peers.
ACO-X has a debt to FCF ratio of 27.90. This is a negative value and a sign of low solvency as ACO-X would need 27.90 years to pay back of all of its debts.
ACO-X has a Debt to FCF ratio of 27.90. This is amongst the best in the industry. ACO-X outperforms 100.00% of its industry peers.
ACO-X has a Debt/Equity ratio of 2.64. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of ACO-X (2.64) is worse than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.64 | ||
| Debt/FCF | 27.9 | ||
| Altman-Z | 0.77 |
ROIC/WACC0.74
WACC5.03%
2.3 Liquidity
ACO-X has a Current Ratio of 1.81. This is a normal value and indicates that ACO-X is financially healthy and should not expect problems in meeting its short term obligations.
ACO-X's Current ratio of 1.81 is amongst the best of the industry. ACO-X outperforms 100.00% of its industry peers.
A Quick Ratio of 1.66 indicates that ACO-X should not have too much problems paying its short term obligations.
ACO-X has a better Quick ratio (1.66) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
ACO-X shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.19%, which is quite good.
Measured over the past 5 years, ACO-X shows a small growth in Earnings Per Share. The EPS has been growing by 6.10% on average per year.
ACO-X shows a small growth in Revenue. In the last year, the Revenue has grown by 7.75%.
The Revenue has been growing slightly by 0.98% on average over the past years.
EPS 1Y (TTM)10.19%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%13.58%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%6.09%
3.2 Future
The Earnings Per Share is expected to grow by 4.92% on average over the next years.
Based on estimates for the next years, ACO-X will show a small growth in Revenue. The Revenue will grow by 0.61% on average per year.
EPS Next Y8.28%
EPS Next 2Y4.17%
EPS Next 3Y4.92%
EPS Next 5YN/A
Revenue Next Year-5%
Revenue Next 2Y-1%
Revenue Next 3Y0.61%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.84 indicates a reasonable valuation of ACO-X.
The rest of the industry has a similar Price/Earnings ratio as ACO-X.
ACO-X is valuated cheaply when we compare the Price/Earnings ratio to 26.41, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 11.54 indicates a reasonable valuation of ACO-X.
ACO-X's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 35.40. ACO-X is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.84 | ||
| Fwd PE | 11.54 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACO-X is valued a bit cheaper than 75.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACO-X is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.98 | ||
| EV/EBITDA | 8.22 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.43
PEG (5Y)1.94
EPS Next 2Y4.17%
EPS Next 3Y4.92%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.66%, ACO-X has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.53, ACO-X's dividend is way lower than its industry peers. On top of this 95.00% of the companies listed in the same industry pay a better dividend than ACO-X!
ACO-X's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
5.2 History
The dividend of ACO-X has a limited annual growth rate of 3.93%.
ACO-X has paid a dividend for at least 10 years, which is a reliable track record.
ACO-X has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.93%
Div Incr Years31
Div Non Decr Years34
5.3 Sustainability
ACO-X pays out 52.20% of its income as dividend. This is a bit on the high side, but may be sustainable.
ACO-X's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP52.2%
EPS Next 2Y4.17%
EPS Next 3Y4.92%
TSX:ACO-X (12/4/2025, 7:00:00 PM)
53.74
-0.76 (-1.39%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners29.15%
Inst Owner ChangeN/A
Ins Owners0.66%
Ins Owner ChangeN/A
Market Cap6.02B
Revenue(TTM)5.14B
Net Income(TTM)431.00M
Analysts78.57
Price Target58.82 (9.45%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
Yearly Dividend1.96
Dividend Growth(5Y)3.93%
DP52.2%
Div Incr Years31
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.14%
Min EPS beat(2)-3.78%
Max EPS beat(2)8.05%
EPS beat(4)3
Avg EPS beat(4)2.22%
Min EPS beat(4)-3.78%
Max EPS beat(4)8.05%
EPS beat(8)7
Avg EPS beat(8)4.37%
EPS beat(12)9
Avg EPS beat(12)2.66%
EPS beat(16)12
Avg EPS beat(16)4.06%
Revenue beat(2)0
Avg Revenue beat(2)-9.84%
Min Revenue beat(2)-17.7%
Max Revenue beat(2)-1.99%
Revenue beat(4)0
Avg Revenue beat(4)-9.73%
Min Revenue beat(4)-18.52%
Max Revenue beat(4)-0.7%
Revenue beat(8)0
Avg Revenue beat(8)-11.91%
Revenue beat(12)0
Avg Revenue beat(12)-10.29%
Revenue beat(16)1
Avg Revenue beat(16)-9.26%
PT rev (1m)2.98%
PT rev (3m)3.5%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)0.27%
EPS NY rev (1m)0.71%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-4.42%
Revenue NY rev (3m)-4.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.84 | ||
| Fwd PE | 11.54 | ||
| P/S | 1.17 | ||
| P/FCF | 12.98 | ||
| P/OCF | 2.47 | ||
| P/B | 1.27 | ||
| P/tB | 1.78 | ||
| EV/EBITDA | 8.22 |
EPS(TTM)4.54
EY8.45%
EPS(NY)4.66
Fwd EY8.66%
FCF(TTM)4.14
FCFY7.7%
OCF(TTM)21.76
OCFY40.49%
SpS45.88
BVpS42.35
TBVpS30.16
PEG (NY)1.43
PEG (5Y)1.94
Graham Number65.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 9.08% | ||
| ROCE | 4.79% | ||
| ROIC | 3.73% | ||
| ROICexc | 3.92% | ||
| ROICexgc | 4.15% | ||
| OM | 24.56% | ||
| PM (TTM) | 8.38% | ||
| GM | 74.9% | ||
| FCFM | 9.02% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
ROICexc(3y)4.06%
ROICexc(5y)3.97%
ROICexgc(3y)4.27%
ROICexgc(5y)4.16%
ROCE(3y)5.04%
ROCE(5y)4.9%
ROICexgc growth 3Y1.58%
ROICexgc growth 5Y-6.25%
ROICexc growth 3Y1.11%
ROICexc growth 5Y-6.55%
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
F-Score7
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.64 | ||
| Debt/FCF | 27.9 | ||
| Debt/EBITDA | 5.96 | ||
| Cap/Depr | 234.56% | ||
| Cap/Sales | 38.4% | ||
| Interest Coverage | 2.33 | ||
| Cash Conversion | 115.87% | ||
| Profit Quality | 107.66% | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z | 0.77 |
F-Score7
WACC5.03%
ROIC/WACC0.74
Cap/Depr(3y)212.07%
Cap/Depr(5y)195.52%
Cap/Sales(3y)33.77%
Cap/Sales(5y)31.75%
Profit Quality(3y)134.57%
Profit Quality(5y)187.54%
High Growth Momentum
Growth
EPS 1Y (TTM)10.19%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%13.58%
EPS Next Y8.28%
EPS Next 2Y4.17%
EPS Next 3Y4.92%
EPS Next 5YN/A
Revenue 1Y (TTM)7.75%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%6.09%
Revenue Next Year-5%
Revenue Next 2Y-1%
Revenue Next 3Y0.61%
Revenue Next 5YN/A
EBIT growth 1Y25.67%
EBIT growth 3Y7.57%
EBIT growth 5Y-2.22%
EBIT Next Year427.2%
EBIT Next 3Y80.42%
EBIT Next 5YN/A
FCF growth 1Y1.09%
FCF growth 3Y-8.79%
FCF growth 5Y2.94%
OCF growth 1Y16.42%
OCF growth 3Y5.63%
OCF growth 5Y7.34%
ATCO LTD -CLASS I / ACO-X.CA FAQ
What is the ChartMill fundamental rating of ATCO LTD -CLASS I (ACO-X.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ACO-X.CA.
Can you provide the valuation status for ATCO LTD -CLASS I?
ChartMill assigns a valuation rating of 5 / 10 to ATCO LTD -CLASS I (ACO-X.CA). This can be considered as Fairly Valued.
How profitable is ATCO LTD -CLASS I (ACO-X.CA) stock?
ATCO LTD -CLASS I (ACO-X.CA) has a profitability rating of 4 / 10.
What is the valuation of ATCO LTD -CLASS I based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ATCO LTD -CLASS I (ACO-X.CA) is 11.84 and the Price/Book (PB) ratio is 1.27.
How financially healthy is ATCO LTD -CLASS I?
The financial health rating of ATCO LTD -CLASS I (ACO-X.CA) is 5 / 10.